Benefits and Drawbacks of a Fixer-Upper in Pleasant Hill

If you’re looking to buy a house, you may be torn between a home that’s move-in ready or a fixer-upper. Sometimes, a fixer-upper needs a lot of work, whereas move-in ready homes allow you to unpack, relax, and enjoy your new abode. Here’s what you need to know if you’re thinking you might buy a fixer-upper.

Below are some of the pros and cons of buying a fixer-upper in Pleasant Hill. Keep reading to know more!

Benefits of Buying a Fixer-Upper

A fixer-upper can be a smart real estate investment for first-time homebuyers and seasoned owners alike. It pays to consider one for these reasons:

1. A lower purchase price: Fixer-upper homes tend to sell for less money than homes that are move-in ready. If you’re extremely handy and think you can handle an extensive renovation project, then the amount you spend to buy your house and fix it up may be far less than what you’d pay for a home in the area that’s in better shape.

1. The chance to get into a neighborhood that’s otherwise unaffordable: If your target neighborhood is one where homes generally sell for far more than you can afford, a fixer-upper is a great way to get into the zip code you want without having to stretch yourself too thin financially. Or, to put it another way, a fixer-upper could be your ticket to great schools, attractive amenities, and conveniences like public transportation.

1. The option to flip that house for a profit: Some people buy a fixer-upper to live in themselves, but if you’re looking for an investment property, a fixer-upper could be a good bet. This especially holds true if you have experience flipping houses and know what it takes to do so successfully.

1. The opportunity to customize your home: When you buy a move-in ready house, there’s generally not much work to be done, and that’s actually a bad thing if you’re hoping to make your living space your own. The upside of buying a fixer-upper is that if you’re willing to spend the money on renovations, you have a chance to turn that property into your dream home. You can build the kitchen you’ve always wanted or enjoyed a finished basement with a theater room and wet bar.

1. Low property taxes: Property taxes are determined by taking a town’s local tax rate and multiplying it by a home’s assessed value. A house that’s in bad shape won’t have such a high value, at least not at first, so you may get a break on property taxes when you first move in.

Drawbacks of Buying a Fixer-Upper

Clearly, there are plenty of good reasons to buy a fixer-upper. But before you do, consider these disadvantages:

1. Hidden problems and costs: If you’re not careful, your fixer-upper home could easily turn into a money pit. Sometimes, even experienced real estate investors get burned when they buy fixer-uppers and discover that those properties have more problems than an inspection reveals. And if you wind up with a lot of work — and costs — on your hands, you could wind up spending way more on a fixer-upper than you’d spend on a move-in ready home a block away.

1. The time it could take for that house to be livable: Many buyers look forward to closing on a mortgage and settling into their new homes. But if you buy a fixer-upper, it could take quite some time for that home to be in good enough shape for you to enjoy living in it.

1. Shocking property tax hikes: When you first buy a fixer-upper, you may get a break on your property taxes. But once that home is renovated and reassessed, you may find that those taxes jump substantially, thereby making that house less affordable. And while you can use up-to-date homes in the area as a benchmark for what your taxes might climb to, keep in mind that if your finished project is more upgraded, you’ll pay the price tax-wise.

— for more information: 

https://www.fool.com/millionacres/real-estate-investing/house-flipping/buying-a-fixer-upper-what-you-need-to-know/

We buy houses in Pleasant Hill,CA and can help you with any situation. We pride ourselves on our reputation of leading with integrity and truly helping our clients. It’s our goal to make each client feel like we’ve achieved a WIN-WIN scenario.  

Sell My House In Pleasant Hill, CA

If you need to sell a house in Pleasant Hill, reach out to our team before committing to an agent. Not only can you save tens of thousands of dollars by working directly with us, we also offer cash for houses in California no matter the situation. Our team will make sure the selling process is fast and easy so you can sell your home without any extra costs, headaches, or wasted time!

Do you need to sell a house in Pleasant Hill? 

We’d love to learn about your situation and see how we can help. Call (510) 900-4090 or email ([email protected]) to get a no-obligation offer on your home!